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Advanced Consumer Behaviour

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What comes from rural India:

  2001(In 2011(In Difference


Crore) Crore) (Crore)

India 102.9 121.0 18.1


• 70% of India’s population
Rural 74.3 83.3 9.0
• 627,000 villages
Urban 28.6 37.7 9.1
• 56% of income  

• 64% of expenditure

• 33% of savings

• 54% FMCG sales

• 59% durables sales


Characteristics of Rural Consumer

Rural consumers purchase a product as a result of certain physical, social and economical forces creating
a desire or a want for the products. A producer can be successful in selling his products only when he
identified the need and wants of the consumers. Important characteristics of the rural consumer denoting
his/her peculiar buying behaviour include the following :

1. Pattern of Purchase and Consumption


2. Influence of Perception and Attitudes
3. Degree of Brand Loyalty
4. Reference Groups
 Portfolio of over 300 ayurvedic
products
 Directly employs more than 34,000  Portfolio of over 250 Herbal/Ayurvedic
 More than 4.0 million outlets people products.

 3,150 distributors  Consolidated total income stood at Rs  Across 100 countries.


53,991.36 crore (US$ 7.66 billion) in
 Total income of Rs 2,654.88 crore FY20  Network covering 6 million retail outlets.
(US$ 376.63 million) in FY20
 Leading Fast-Moving Consumer  Consolidated total income from operations stood
 Leading and fastest growing personal Goods company in India at Rs 9,008.88 crore (US$ 1.28 billion) in FY20.
and healthcare businesses in India
 Ranked No. 3 globally in Foods  World leader in Ayurveda.
 Entered hand sanitiser segment under Industry for Environmental, Social,
its flagship skincare brand, BoroPlus and Governance (ESG) Performance
Table 1 shows Per Capita Consumption of Table 3 shows the distribution of FMCG market by income in urban
Tooth Paste and rural market
SI. No. Country Consumption in
gms
1 India 70

2 Europe 300

3 Thailand 150

Table 2 shows Growth of FMCG Sector in


India
Year Market Size (Rs. Billion)
Urban Rural Total
Table 4 shows the per capita consumption of key product categories in urban and rural
1998- 371.3 415.5 786.8 markets for the period 2012 - 2013.
99

2008- 818.9 649.4 1468.3


09

2018- 1780.7 1325.8 3106.5


19

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